Question
Analyzing Investing and Financing Cash Flows During 2016, Paxon Corporations long-term investments account (at cost) increased $3,000, which was the net result of purchasing stocks
Analyzing Investing and Financing Cash Flows
During 2016, Paxon Corporations long-term investments account (at cost) increased $3,000, which was the net result of purchasing stocks costing $16,000 and selling stocks costing $13,000 at a $1,200 loss.
Also, its bonds payable account decreased $2,000, the net result of issuing $26,000 of bonds and retiring bonds with a book value of $28,000 at a $1,800 gain.
What items and amounts appear in the (a) cash flows from investing activities and (b) cash flows from financing activities sections of its 2016 statement of cash flows?
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